India, China to be largest investors in 2030: World Bank

"In less than a generation, global investment will be dominated by the developing countries... China and India are expected to be the largest investors," World Bank Vice-President and chief economist Kaushik Basu said.

Developing countries' share in global investment is projected to triple by 2030 to three-fifths, from one-fifth in 2000. This might change the landscape of the global economy and make the world's economies more integrated than at any other time in history.

Projections were made on the basis of two scenarios in the report. One, the gradual convergence scenario in which structural factors are assumed to evolve in a fashion consistent with their historical patterns.

India, China to be largest investors in 2030: World Bank

In fact, developing countries' share in global investment is projected to triple by 2030 to three-fifths, from one-fifth in 2000. This is expected to change the landscape of the global economy and make the world's economies more integrated than at any other time in history.

Among high-income countries, relatively strong institutions and continued technological advantage will mean that investment rates remain fairly stable, at around 17 per cent of output.

In terms of volumes, investment in the developing world will reach $15 trillion (in 2010 dollars) versus $10 trillion in high-income economies.

Image: By 2030, world's economies will be more integrated than at any other time in history.Photographs: Reuters